scholarly journals Ownership structure and the choice of SEO issue method in the UK

2017 ◽  
Vol 13 (4) ◽  
pp. 378-396 ◽  
Author(s):  
Panagiotis Andrikopoulos ◽  
Ji Sun ◽  
Jie Guo
Keyword(s):  
Ownership Structure ◽  
Least Square ◽  
Market Conditions ◽  
Market Reactions ◽  
Content Type ◽  
Logistic Regression Models ◽  
Ordinary Least Square ◽  
Price Discounts ◽  
Stock Market Performance ◽  
The Uk

Purpose The purpose of this paper is to analyse the role of ownership characteristics in a firm’s choice of alternative seasoned equity offering (SEO) methods, offer price discounts, and market reactions to such announcements within the UK setting. Design/methodology/approach The study examines 697 SEO events of firms traded in the UK during the period 1998 to 2012 using multivariate and binomial logistic regression models. Ordinary least square models are also used to examine how ownership variables affect offer price discounts and stock market performance during the announcement of such corporate events. Findings The authors show that placings and open offers (OOs) are the preferred methods for issuing equity by firms with higher managerial ownership. Thus, the evidence strongly supports the prediction of the entrenched management hypothesis. Moreover, the probability of choosing a combination of placings and OOs is also found to be significantly related to issue size, offer discount, leverage, and previous stock performance. The results show that pre-issue market conditions have a significant effect on the choice of issue method with rights offers (ROs) and the combination of placings and OOs primarily utilised by firms for issuing equity during hot market periods. Originality/value Unlike prior SEOs’ studies in the UK that predominantly concentrate on the use of ROs and placings, this study examines, for the first time, the link between OOs and the combination of placings and OOs with ownership concentration. The authors also investigate how offer price discounts are related to the firms’ ownership structure, various company micro-characteristics and the wider market conditions.

scholarly journals Do firm characteristics and ownership structure affect corporate philanthropic contributions in Jordan?

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Husam Ananzeh ◽  
Hashem Alshurafat ◽  
Khaled Hussainey
Keyword(s):  
Ownership Structure ◽  
Fixed Effects ◽  
Design Methodology ◽  
Least Square ◽  
Firm Characteristics ◽  
Content Type ◽  
Ordinary Least Square ◽  
Service Sectors ◽  
Ordinary Least Square Regression ◽  
New Evidence

Purpose This paper aims to examine the drivers of corporate donations in Jordan. In particular, to examine whether firm-specific characteristics and ownership types affect corporate donations. Design/methodology/approach The analysis is based on a sample of 94 Jordanian listed companies, drawn from the manufacturing and service sectors, over the period 2010–2016. This paper uses ordinary least square regression with a year and industry fixed effects to test the research hypotheses. Findings This paper finds that corporate philanthropic contributions are positively associated with company size, age, profitability, media exposure and governmental ownership. This paper also finds that corporate philanthropic contributions are negatively associated with financial leverage and family ownership. Originality/value The paper provides new evidence on the determinants of corporate philanthropic contributions in a developing country.

Tax evasion through fraudulent financial reporting amongst SMEs in Malaysia

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Zainal Abidin Ngah ◽  
Norashikin Ismail ◽  
Nadiah Abd Hamid
Keyword(s):  
Financial Reporting ◽  
Ownership Structure ◽  
Tax Evasion ◽  
Least Square ◽  
Fraudulent Financial Reporting ◽  
Content Type ◽  
Ordinary Least Square ◽  
Inland Revenue ◽  
Ordinary Least Square Regression ◽  
The Right

Purpose The purpose of this paper is to tackle one of the issues in tax evasion, that is from the perspective of fraudulent financial reporting amongst small and medium-sized enterprises (SMEs) in Malaysia. This study is intended to examine the relationships between certain company attributes, namely, company ownership structure, the size of company and the frequency of tax audits and how they relate to tax evasion practices amongst SMEs in Malaysia. Design/methodology/approach This paper examined 397 companies which have been audited by the Inland Revenue Board of Malaysia (IRBM) during the years 2016 and 2017. A research model was developed and the authors use ordinary least square regression analysis to examine the effect of three prominent independent variables, which are company ownership structure, the size of company and the frequency of tax audits on SMEs’ tax evasion practices in Malaysia. Findings The authors find that family ownership firms and company size have statistically significant positive relationship with tax evasion practices detected during tax audits. The results also show that the frequency of tax audits conducted positively affect the increase of tax evasion activities amongst SMEs in Malaysia. Originality/value To the best of the authors’ knowledge, this study could be the first in Malaysia that uses the actual audited data examining the fraudulent financial reporting cases amongst SMEs, and this could provide important insights to the IRBM to enable this tax authority to improve its policy-making decisions in relation to selecting the right companies for audits in the future and subsequently may assist its collection department in generating additional income for the nation.

scholarly journals oard Composition, Ownership Structure and Dividend Payout Policy: Evidence from PSX-100 Index of Pakistan

2021 ◽  
Vol 5 (1) ◽  
pp. 55-73
Author(s):  
MUHAMMAD NAVEED AHMAD ◽  
FARMAN ULLAH KHAN ◽  
YOUSAF KHAN
Keyword(s):  
Ownership Structure ◽  
Payout Policy ◽  
Least Square ◽  
Board Composition ◽  
Dividend Payout ◽  
Return On Equity ◽  
Logistic Regression Models ◽  
Ordinary Least Square ◽  
Study Results ◽  
Dependent Variables

The purpose of this study is to analyze the influence of board composition, ownership structure on dividend payout policy. Ordinary Least Square and Logistic regression models were applied to test the estimation in Pakistani KSE 100-index firms for the period of 2005 to 2014. Corporate Governance (board composition and ownership structure) were taken as independent variables, dividend payout / dividend decision as dependent variables. It is ascertained that the board size, executive director, institutional, foreign ownership and return on equity are significantly influenced on dividend payout /decision. Over study results evidenced that those firms who have higher profitable provide signal to the market to pay higher dividend in Pakistani firms and intended to resolve the agency problems issues.

Tacit knowledge transfer in coopetition

2017 ◽  
Vol 10 (4) ◽  
pp. 453-468 ◽  
Author(s):  
Amit Kumar ◽  
Swarup Kumar Dutta
Keyword(s):  
Knowledge Transfer ◽  
Tacit Knowledge ◽  
Least Square ◽  
Service Firms ◽  
Content Type ◽  
Ordinary Least Square ◽  
Tacit Knowledge Transfer ◽  
Potential Benefits ◽  
Ordinary Least Square Regression ◽  
Empirical Context

Purpose The purpose of this paper is to understand how firms affiliated to business groups (BGs) are able to improve their innovation capability (IC) when engaged in coopetition (collaboration between competing firms). This study aims to explore the relationship between coopetitive relationship strength (CRS), the extent of tacit knowledge transfer (TKT) and IC as well as examine the moderating effect of both BG affiliation and coopetitive experience. Design/methodology/approach The paper examines inter-firm relationships within the empirical context of Indian manufacturing and service firms, by adopting (ordinary least square) regression analysis to test the various hypotheses. The central thesis is that the TKT in coopetition constitutes an important driver to the IC. Findings The paper provides some evidence that inter-firm CRS influences the extent of TKT, and the extent of TKT affects firm IC. The results support that firms in coopetition gain more if their coopetitive partner has a BG affiliation. In absence of a BG affiliation of any of the coopetitive partners, the buildup of TKT reduces as CRS is increased. Research limitations/implications Additional large-sample of data may attempt to validate relationships. The study, however, did not consider all enablers that are critical for TKT. Despite these limitations, analysis provides important and novel perspectives. Practical implications The paper contributes to develop executives’ practices in understanding potential benefits of coopetitive relationship. The implications of this research are important for managers seeking understanding of the management of coopetition. Originality/value The paper makes a modest attempt to investigate the various scenarios of the presence or absence of the moderation of BGs and its impact on CRS in the buildup of TKT. This is the first attempt to link coopetition to the TKT in the BG literature. This study also contributes to our understanding of coopetition in a non-western context.

Users’ perception of cybersecurity, trust and cloud computing providers’ performance

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Hongjiang Xu ◽  
Sakthi Mahenthiran
Keyword(s):  
Cloud Computing ◽  
Structural Equation ◽  
Design Methodology ◽  
Positive Relationship ◽  
Least Square ◽  
Equation Modeling ◽  
Content Type ◽  
Ordinary Least Square ◽  
Ordinary Least Square Regression ◽  
Computing Literature

Purpose This study aims to develop a scale to measure the cloud provider’s performance and it investigates the factors that impact that performance from the users’ perspective. Design/methodology/approach This paper proposes a research framework, develops hypotheses and conducts a survey to test the framework. Findings The results from both ordinary least square regression and structural equation modeling analyzes indicate that information technology complexity negatively and significantly affects users’ perception of the cloud computing providers’ performance. Additionally, the trust in the supervisor significantly enhances the otherwise insignificant positive relationship between providers’ cybersecurity capability and users’ perception of their providers’ performance. Originality/value The research makes important contributions to the cloud computing literature, as it measures users’ perception of the cloud computing provider’s performance and links it with cybersecurity, technical complexity and incorporates both the trust in the client firm’s supervisor and the strength of cybersecurity offered by cloud computing provider.

Islamic calendar and stock market behaviour in India

2018 ◽  
Vol 45 (11) ◽  
pp. 1550-1566
Author(s):  
Dharani Munusamy
Keyword(s):  
Stock Market ◽  
Least Square Method ◽  
Least Square ◽  
Stock Market Returns ◽  
Content Type ◽  
Ordinary Least Square ◽  
Average Return ◽  
Year Effect ◽  
The Common ◽  
The Impact

Purpose The purpose of this paper is to examine the behavior of the stock market returns in the different days of the week and different months of the year in accordance with the Islamic calendar. Further, the study estimates the risk-adjusted returns to test the performance of the indices during the Ramadan and non-Ramadan days. Finally, the study investigates the impact of Ramadan on the returns and the volatility of the stock market indices in India. Design/methodology/approach Initially, the study applies the Ordinary Least Square method to test the day-of-the-week and the month-of-the-year effect of the common and Shariah indices. Next, the study employs the risk-adjusted measurement to examine the underperformance and over-performance of the indices for both the periods. Finally, the study estimates the GARCH (1,1) and GJR-GARCH (1,1) models to observe the impact of Ramadan on the returns and the volatility of the Shariah indices in India. Findings The study finds that an average return of the indices during the Ramadan days are higher than non-Ramadan days. Further, the average returns of the Shariah indices are significantly higher on Wednesday than other days of the week. In addition, the highest and significant mean returns and mean risk-adjusted returns of the indices during the Ramadan days are observed. Finally, the study finds an evidence of the Ramadan effect on the returns and volatility of the indices in India. Originality/value The study observes evidence that the Ramadan effect influences the Shariah indices, but not the common indices in the stock market of the non-Muslim countries. It indicates that the Ramadan creates the positive mood and emotions in the investors buying and selling activities. The study suggests that investors can buy the shares before Ramadan period and sell them during the Ramadan days to get an abnormal return in the emerging markets.

Predictors of self-legitimacy among military police officers in São Paulo, Brazil

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Viviane de Oliveira Cubas ◽  
Frederico Castelo Branco ◽  
André Rodrigues de Oliveira ◽  
Fernanda Novaes Cruz
Keyword(s):  
Police Officers ◽  
Sao Paulo ◽  
Least Square ◽  
São Paulo ◽  
Military Police ◽  
Content Type ◽  
Organizational Variables ◽  
Ordinary Least Square ◽  
The Public ◽  
The Military

PurposeThe authors examine predictors of self-legitimacy for police officers belonging to the Military Police force of São Paulo (Brazil). Considering the variables mobilized by the literature on self-legitimacy, the authors seek to identify what explains the self-legitimacy of militarized police officers.Design/methodology/approachA survey was applied to 298 frontline police officers in the city of São Paulo, analyzing indicators separated into two groups: relationship dimension and organizational dimension. An ordinary least square model is used to test the “relationship” and “organizational” variables on police officers' self-legitimacy.FindingsEffectiveness is the strongest predictor for self-legitimacy. Organizational justice and distributive justice also present important effects, as the perception of citizens' attitudes toward police reinforces the conception of self-legitimacy as a dialogical construct, comprising here the public's expectations of police work as well as the police officers' perceptions that they are respected and considered important by the public.Originality/valueThere are no other studies on self-legitimacy related to Brazilian police officers or exploring these aspects among police officers submitted to a militarized structure. These results contribute to the ongoing debate on the militarization of police activities and their possible effects on police legitimacy.

IPO valuation using the price-multiple methods: evidence from Malaysia

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Chui Zi Ong ◽  
Rasidah Mohd-Rashid ◽  
Kamarun Nisham Taufil-Mohd
Keyword(s):  
Initial Public Offerings ◽  
Stock Exchange ◽  
Least Square ◽  
Multiple Methods ◽  
Cross Sectional ◽  
Ols Regression ◽  
Content Type ◽  
Public Offerings ◽  
Ordinary Least Square ◽  
Valuation Method

Purpose This study aims to investigate the valuation accuracy of Malaysian initial public offerings (IPOs) by using price-multiple methods. Design/methodology/approach Cross-sectional data including 467 IPOs listed on the Malaysian stock exchange were used for the period of 2000–2017. This study used univariate ordinary least square (OLS) regression to analyse the relationship between IPOs’ price-multiples and comparable firms’ price-multiples. The test of valuation accuracy was conducted via computing valuation errors by segregating the sample into two groups: fixed-price IPOs and book-built IPOs. Furthermore, multiple OLS regression was used to examine the influence of IPO valuation on underpricing. Findings The findings of the results suggested that IPOs price-to-earnings (P/E), price-to-book (P/B) and price-to-sales (P/S) multiples were positively related to the median P/E, P/B and P/S multiples of five comparable firms matched by industry and revenues. The P/S multiple was shown to be the most significant valuation method, specifically in book-built IPOs. The findings indicated that those firms that had a lower valuation in comparison to the comparable firms were inclined to underprice their IPOs to allure investors to subscribe IPOs. In addition, book-built IPOs that had fair valuations were inclined to generate higher initial returns for investors. Practical implications The findings of this study observed implications for underwriters in avoiding the mis-valuation issue by considering the book-building mechanism. Originality/value This study attempted to explore the suitability of the valuation method to value IPOs in Malaysia.

Insurance regulations, risk and performance in Ghana

2019 ◽  
Vol 28 (1) ◽  
pp. 74-96
Author(s):  
Baah Aye Kusi ◽  
Abdul Latif Alhassan ◽  
Daniel Ofori-Sasu ◽  
Rockson Sai
Keyword(s):  
Random Effect ◽  
Least Square ◽  
Insurance Market ◽  
Content Type ◽  
Ordinary Least Square ◽  
Negative Effect ◽  
And Performance ◽  
First Time

Purpose This study aims to examine the hypothesis that the effect of insurer risks on profitability is conditional on regulation, using two main regulatory directives in the Ghanaian insurance market as a case study. Design/methodology/approach This study used the robust ordinary least square and random effect techniques in a panel data of 30 insurers from 2009 to 2015 to test the research hypothesis. Findings The results suggest that regulations on no credit premium and required capital have insignificant effects on profitability of insurers. On the contrary, this study documents evidence that both policies mitigate the effect of underwriting risk on profitability and suggests that regulations significantly mitigate the negative effect of underwriting risk to improve profitability. Practical implications The finding suggests that policymakers and regulators must continue to initiate, design and model regulations such that they help tame risk to improve the performance of insurers in Ghana. Originality/value This study provides first-time evidence on the role of regulations in controlling risks in a developing insurance market.

scholarly journals Getting CFO on board – its impact on firm performance and earnings quality

2020 ◽  
Vol 33 (2) ◽  
pp. 435-454
Author(s):  
Lien Duong ◽  
John Evans ◽  
Thu Phuong Truong
Keyword(s):  
Firm Performance ◽  
Negative Impact ◽  
Earnings Quality ◽  
Least Square ◽  
Chief Financial Officers ◽  
Outside Directors ◽  
Content Type ◽  
Ordinary Least Square ◽  
Board Membership ◽  
The Impact

Purpose This paper aims to investigate the impact of Australian Chief Financial Officers (CFOs) as board insiders on firm performance and earnings quality with reference to agency theory and theory of friendly board. Design/methodology/approach The ordinary least square, two-stage least-squares and propensity score matching regressions are performed with various proxies for firm performance and accruals quality. Findings Firms with CFOs as board insiders experience significantly lower firm performance and earnings quality. In firms with powerful CEOs, the negative impact of CFO board membership on earnings quality is further magnified. Additionally, the negative impact of CFO board membership on firm values and earnings quality is only present in firms with bigger boards or firms with less outside directors. The findings are consistent with the agency perspective and in sharp contrast to the US market. Originality/value This is the first Australian study to examine the impact of CFO board membership on firm performance and earnings quality. The findings suggest that the monitoring of executives is best done by a small or independent board and that the insider board membership should be optimised.

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